Research › Browse › Judgment

Orissa High Court · body

1980 DIGILAW 43 (ORI)

CUTTACK DISTRICT STAMP VENDOR`S ASSOCIATION v. COLLECTOR

1980-04-07

N.K.DAS, P.K.MOHANTI

body1980
JUDGMENT : P.K. Mohanti, J. - This writ application has been filed by the Cuttack District Stamp Vendor's Association challenging the appointment of opposite parties 2 to 8 as Stamp Vendors at different stations of the district of Cuttack on the ground that the same was made not only on extraneous and mala fide considerations but also in contravention of rule 3 of the Rules for Supply and Sale of Stamps and Stamped Papers (hereinafter referred to as the 'Rules') framed by the Board of Revenue, Orissa as the Chief Controlling Revenue Authority in exercise of the power conferred by section 74 read with section 76-A of the Indian Stamp Act, 1899. The petitioners pray for quashing the appointments of opposite parties 2 to 8 and for restraining the Collector, Cuttack (opp. party No. 1) from issuing any fresh licences or appointing any new stamp vendors. 2. The stand taken by the opposite party No. 1 is that the appointments were made fairly and justly in consonance with the statutory rules and on the recommendations of the local officers. 3. Rule 3 of the Rules relied upon by the petitioners reads as follows :- "3. Licensed stamp vendors - (i) Collectors and any other officer specially empowered by the Board of Revenue in this behalf are authorised to grant licenses in the form appended to private persons for the sale of stamps. (ii) Licenses may be granted to Postmasters with the consent of the Postmaster-General. NOTE - In order that the public may be provided with every facility for readily obtaining stamp in outlying localities where, otherwise, stamps might not always be easily available, licenses for the sale of stamps of every description should be granted to any respectable and reasonably substantial person who wishes to sell them either as a special business or as an addition to some other business which he carries on. At district, sub-divisional and taluk headquarters and in large towns where vendors are readily found, the number of them should be such as to offer reasonable facilities to the public, but it should be limited so as to allow a moderate income from the sale of stamps being derived by each. At district, sub-divisional and taluk headquarters and in large towns where vendors are readily found, the number of them should be such as to offer reasonable facilities to the public, but it should be limited so as to allow a moderate income from the sale of stamps being derived by each. (iii) Licenses granted to a stamp vendor may be revoked by the Collector of the district and the authority granting the license for non-observance of the conditions of the license for any reason to be recorded in writing." 4. The petitioners' contention is that the income of the existing stamp vendors is less than moderate and it would further deteriorate if any further appointment is made. 5. Mr. D.P. Mohapatra, the learned Additional Government Advocate submitted that the appointments of opposite parties 2 to 8 were made in consonance with the provisions of rule 3 and the same will be duly followed in making future appointments. He, however, argued that the petitioners cannot claim any legal right on the basis of rule 3 and that the 'Note' appended to the same has no statutory force. 6. In our opinion, no person has a right of carrying on business or vending stamps. That is a privilege of the State Government. The State may vend stamps either directly or through its agents. The grant of licence for vending of stamps is not a right but a privilege. 7. Having heard the learned counsel for the parties and having gone through the records, we are not inclined to interfere with the appointments already made. 8. We may, however, make it clear that on a fair reading of the Rules it cannot be said that the Collector has uncontrolled discretion and there is no guidance for him in the matter of granting or refusing licences. The power of issuing licences entrusted to him under rule 3 must be read in conjunction with the Note appended thereto. The Note is a key to the provisions heart of the matter with a purpose. While granting licences the Collector is required to act reasonably keeping in view the convenience of the public and the interests of the existing stamp vendors. The Note is a key to the provisions heart of the matter with a purpose. While granting licences the Collector is required to act reasonably keeping in view the convenience of the public and the interests of the existing stamp vendors. It is, therefore, necessary that the number of stamp vendors at district and sub-divisional headquarters should be limited so as to provide reasonable facility to the public for readily obtaining stamps and also to allow a moderate income from the sale of stamps being derived by each stamp vendor. 9. Subject to the above observations, the writ application stands dismissed, but without any order as to costs. N.K. Das, J. - I agree. Final Result : Dismissed